A Non-Resident's Guide to Buying a Home in Nova Scotia - Nova Scotia Real Estate and Homes for Sale

A non residents guide to moving to Nova scotia

Welcome to Nova Scotia

Nova Scotia is a small Canadian province in the Maritimes, composed of the Nova Scotia peninsula, Cape Breton Island, and over 3,000 smaller islands[1]. Its capital city, Halifax, is known for culture, arts, and a high standard of living, while the province as a whole is famous for coastal beauty and seafood[1]. In recent years, Nova Scotia has actively welcomed newcomers.

Through programs like the Nova Scotia Nominee Program (NSNP) and the Atlantic Immigration Program (AIP), thousands of new immigrants now call Nova Scotia home[2][3]. If you’re moving to Nova Scotia or considering buying a home in Nova Scotia as a non-resident, this guide will walk you through everything you need to know – from current purchase restrictions and taxes to financing and insider tips on Nova Scotia real estate.

A Warm Welcome for Newcomers to Nova Scotia

Nova Scotia’s commitment to newcomers is evident in its immigration initiatives. The NSNP (Nova Scotia’s Provincial Nominee Program) helps skilled workers and entrepreneurs obtain permanent residency in the province[4]. Thanks to these programs, immigration to Nova Scotia has tripled over the last 20 years – from about 2,339 new permanent residents in 2012 to 7,580 in 2019[2].

The province now regularly welcomes over 7,000 new immigrants each year, with a retention rate above 70% (meaning the majority of newcomers stay long-term)[5]. This growing community of newcomers adds to Nova Scotia’s rich culture and economy.

What does this mean for you?

If you’re planning to relocate, you’ll find a supportive environment. Many local services, employers, and communities are experienced in helping new immigrants settle in. And if you’re a non-resident buying property in Nova Scotia as a future home or investment, you’re in good company – the province prides itself on being welcoming, while also ensuring housing remains available to those who live here.

Can Non-Residents Buy Property in Nova Scotia?

Yes – non-residents are allowed to buy property in Nova Scotia and Canada, with some important caveats. Currently, Canada has a federal foreign buyer ban in place that restricts many non-Canadians from purchasing residential real estate (in areas of certain population densities). This law, officially the Prohibition on the Purchase of Residential Property by Non-Canadians Act, took effect January 1, 2023 for an initial two-year period[6].

In early 2024, the government announced a two-year extension, which means the foreign buyer ban now lasts until January 1, 2027[7]. In simple terms, if you are not a Canadian citizen or permanent resident, you are prohibited from buying residential property in Canada until 2027 (unless the policy changes or you qualify for an exemption).

Foreign buyer ban – key points and exemptions: The ban defines “residential property” as homes with three dwelling units or less (so single-family homes, condos, duplex/triplex)[8]. However, there are notable exemptions and details:

Location matters: The ban only applies to properties in or near large urban areas. Non-Canadians can still purchase residential properties located outside of Census Metropolitan Areas (pop. ≥100,000) or large towns (Census Agglomerations ≥10,000)[8]. In Nova Scotia, this means foreign buyers may purchase homes in many rural areas or small communities without violating the ban. (Always verify if a specific property’s location is exempt using the federal government’s tools.)
Multi-unit properties: Residential buildings with 4 or more units (e.g. an apartment building with four apartments) are not restricted by the ban[8]. A non-resident could buy a multi-family property with 4+ units even in an urban area.
Work permit holders and temporary residents: Certain people in Canada on temporary status can still buy. For example, recent amendments allow some work permit holders to purchase a home if they have a valid work permit and have lived and worked in Canada for a specified amount of time. Similarly, international students meeting specific criteria, refugees, and some other groups may be exempt[7][9]. (The rules are evolving, so consult the latest federal guidelines or a lawyer to see if you qualify.)
Recreational and other properties: Vacant land zoned for residential use is generally included in the ban, but buying purely commercial properties or recreational land may be allowed. Always double-check how a property is classified.

Bottom line: If you plan to move to Nova Scotia as a permanent resident, the ban won’t impede you once you have your PR status or Canadian citizenship. But if you’re still a foreign national (for instance, planning to buy a vacation home or an investment property without immigrating), you’ll face restrictions in cities and towns until 2027. You might consider focusing on areas not covered by the ban or look at larger multi-unit investments. It’s wise to consult a local REALTOR® or lawyer who can explain how the foreign buyer rules apply to your situation.

Nova Scotia’s Extra Taxes for Non-Resident Buyers

Aside from the federal ban, Nova Scotia imposes provincial taxes for non-resident buyers of property. The key one to know is the Non-Resident Deed Transfer Tax:

Non-Resident Deed Transfer Tax (Provincial) – Nova Scotia charges an additional deed transfer tax to non-residents when they buy residential real estate in the province and do not move here within 6 months. As of April 1, 2025, this tax is 10% of the property’s purchase price (or assessed value, whichever is higher) for any portion being transferred to a non-resident buyer[10][11]. This is on top of the usual deed transfer tax that everyone pays (most municipalities already charge around 1–1.5% deed transfer tax to all buyers). The non-resident tax would make the effective transfer tax ~11.5% in Halifax (1.5% municipal + 10% non-resident).
For example: If a non-Nova Scotia resident buys a house for $400,000 in 2025, the provincial non-resident tax alone would be $40,000[11] (10% of $400k), in addition to the standard deed transfer tax (around $6,000 if 1.5%).
6-Month Residency Exemption: Nova Scotia does offer an exemption to this 10% tax if you move to Nova Scotia within 6 months of the property closing. This rule is designed to not penalize people who genuinely plan to become residents. The exemption is applied per buyer: each non-resident buyer who intends to move must later show proof of Nova Scotia residency (such as a Nova Scotia driver’s license or health card) within 6 months[12]. If all the buyers fulfill this, the 10% tax is waived entirely. If only some of the buyers move to Nova Scotia and others do not, then the tax (plus interest and possibly penalties) will be charged proportional to the non-resident portion that didn’t relocate[13].
Tip: If you’re purchasing with a spouse or partner and plan to live in the home, make sure you both obtain Nova Scotia residency documents within six months. The province requires proof (via a form and documents) to finalize the exemption[14]. If unexpected delays occur (for instance, your move is postponed), you can request a one-time extension, but it’s easier to meet the initial timeline[15].

No Ongoing “Non-Resident Property Tax”: You might have heard about an annual property tax for non-resident owners – Nova Scotia proposed a 2% annual tax on non-resident owners in 2022, but it was scrapped due to backlash[16]. The province decided it did not want to discourage part-time residents or harm its welcoming image. So currently there is no extra annual property tax just for being a non-resident. Non-resident owners pay the same municipal property taxes as everyone else, based on the assessed value of the property.
Federal Underused Housing Tax (UHT): One federal tax to be aware of is the Underused Housing Tax. This is a 1% annual tax on the value of residential property owned by non-Canadians that is vacant or underused. However, if you or your family are living in the home or renting it out long-term, you wouldn’t owe this tax – most occupied homes are exempt. Still, certain foreign owners (e.g. those who leave a vacation home empty most of the year) might need to file a UHT return and potentially pay 1% of the home value each year[17]. (Note: As of late 2025, there are discussions about eliminating the UHT after 2024, but be sure to check the latest status. The safe approach is to assume you must file a return for any year you own Canadian property as a non-resident, even if no tax is due.)
Tax when selling (withholding for non-residents): If you eventually sell the property as a non-resident, be prepared for different tax handling on the sale. Canada requires the buyer to withhold a portion of the sale proceeds (usually 25% of the gross sale price) unless you obtain a tax clearance certificate from the Canada Revenue Agency[18]. This withheld amount is to cover any capital gains tax you might owe on the sale. You will need to file a Canadian tax return for that year to calculate the actual taxable gain. With proper filing, you get back any excess of the 25% that isn’t needed for the tax. If the property was a rental, the withholding can be 50% of the sale price[19], reflecting potential tax on recaptured depreciation, etc. The key point is: when a non-resident sells Canadian real estate, consult an accountant beforehand. They will help you apply for a Clearance Certificate in advance to reduce or eliminate the 25% holdback at closing[20]. Failing to promptly notify CRA of the sale can lead to penalties (at minimum $100, up to $2,500)[21]. It sounds complicated, but with an accountant or lawyer’s help, it’s a routine process. Just don’t skip it – the Canadian government wants to ensure non-resident sellers pay any owed tax on their profits[22].

Quick Recap of Taxes: When buying property as a non-resident, your main extra cost is the one-time Non-Resident Deed Transfer Tax (10%), unless you move to Nova Scotia within 6 months (then it’s waived)[12]. There’s no special annual non-resident property levy in Nova Scotia now. Do budget for normal closing costs like the regular deed transfer tax (~1–1.5%), legal fees, inspection, etc. If you keep the property vacant, know the federal government might charge 1% yearly (UHT). And when you sell, plan for the tax clearance process so you’re not caught off guard. Working with professionals (and a knowledgeable REALTOR®) will ensure you handle all these properly.

Mortgage and Financing Options for Non-Residents and Newcomers

One big question when buying a home in Nova Scotia as a newcomer is financing. Can you get a Canadian mortgage as a non-resident or new immigrant? The answer is usually yes – but the requirements are a bit stricter than for Canadian residents, and they vary depending on your status:

New immigrants (permanent residents or those with work permits): If you have recently relocated to Nova Scotia and have secured permanent residency (or are a temporary resident with a valid work visa and plan to stay), Canadian banks often treat you similarly to citizens. Major banks have “New to Canada” mortgage programs. You might not have a long Canadian credit history, but lenders will look at your foreign credit, employment letter, and income. Down payments can be as low as 5–10% for those with permanent resident status, especially if you have a stable Canadian job (down payment rules in Canada are 5% minimum for homes under $500k for residents)[23]. Some programs allow newcomers to buy with 10% down or even less if insured, provided they meet income criteria.
Non-resident foreign buyers (living abroad): If you are not immigrating and will finance the purchase from abroad, Canadian lenders require larger down payments and documentation. Typically, 35% down is the minimum for foreign income or non-resident borrowers[24][25]. For U.S. residents, some banks may accept 20% down if your credit and income are strong[26], but for buyers from overseas (outside U.S./Canada), expect to put at least 35% of the purchase price as down payment. The funds usually must be your own (not borrowed) and must be in a Canadian bank account before closing[27][28]. Lenders often ask that the money be in Canada 30–90 days ahead of time to verify its source (anti-money-laundering rules)[27].

Proof of income and reserves: Canadian banks will want to see proof of your income (foreign or domestic) and may require a letter from your employer, pay stubs, and possibly international credit reports. In some cases, lenders might ask a non-resident borrower to hold a certain amount of cash in a Canadian account as a reserve – e.g. an amount equal to 12 months of mortgage payments – to ensure you can carry the property[29]. This can vary by lender. Working with a mortgage broker experienced in non-resident loans can help you find a lender and navigate the paperwork.

Mortgage rates and options: Non-resident mortgages tend to have similar interest rates to resident mortgages if you qualify, though some banks might charge slightly higher or limit you to certain products. You’ll need a Canadian bank account. The good news is major banks like RBC, TD, BMO, CIBC, etc., all have services for international buyers[30]. It’s worth shopping around or getting pre-approval from a bank that has experience with newcomers. If you plan to move to Nova Scotia soon, let the lender know – being a future resident may broaden your mortgage options (for example, some “New to Canada” programs require the borrower to become a resident within 3 months of closing).
Alternative financing: If traditional banks won’t approve a mortgage (perhaps due to foreign income complexities), there are alternative lenders who might, but at higher interest rates. Some buyers choose to refinance a property in their home country or use cash/equity to purchase in Nova Scotia. Also, Nova Scotia does have a Down Payment Assistance Program (DPAP) for first-time buyers, but it’s limited to residents of the province with moderate incomes – so it likely won’t apply until you’ve lived in NS for at least a year and meet other criteria.

Tip: Before home shopping, talk to a Canadian mortgage advisor or broker about your situation. Get a sense of how much you can borrow and what down payment you’ll need. This prevents unpleasant surprises and strengthens your position when you’re ready to make an offer.

Also, consider currency exchange implications – if your down payment is coming from abroad, shifting exchange rates can affect how much in Canadian dollars you end up with. Some services like Wise can help transfer funds with lower fees[31].

Tips for a Smooth Home Buying Process in Nova Scotia

Buying property in a new country or province can feel daunting. Here are some tips to ensure a smooth home buying process for non-residents and newcomers:

Do Your Homework on Locations: Spend time researching Nova Scotia’s communities, not just the listings. Each town and neighborhood has its own character – are you after city convenience in Halifax, a university town vibe in Wolfville, or a quiet coastal village? Consider schools, healthcare, transportation, and lifestyle in various areas. Many newcomers start with popular regions like Halifax Regional Municipality, South Shore, or the Annapolis Valley, but Nova Scotia is full of hidden gems. Check resources like local forums or community Facebook groups, and if possible, visit in person (or take virtual tours) before deciding where to buy.
Understand the Market: As of 2025, the Nova Scotia real estate market is competitive, especially in Halifax and surrounding areas. Inventory (number of homes for sale) has been low, keeping it a seller’s market in many segments. Homes in Halifax often sell quickly, sometimes above asking price. On average, Halifax homes spend only around 4 weeks on the market, and many go conditionally sold within 1–2 weeks or even a few days in hot neighborhoods. Be mentally prepared for this pace – it means when you find a good home, you may need to act fast and put in a strong offer. A local REALTOR® can provide recent stats and guide you on a realistic offer strategy.
Get Mortgage Pre-Approval (or Proof of Funds): If you’ll need a mortgage, start that process early. A pre-approval letter from a lender shows sellers you’re serious and financially qualified. It also lets you know your budget. If you’re offering cash from overseas, be prepared to show a bank or investment statement as proof of funds (and remember the money likely needs to be in Canada before closing). In a competitive situation, an offer with financing already lined up is much more attractive to sellers.
Factor in All Costs: Aside from the purchase price, remember to budget for those extra costs we discussed – e.g. the 10% non-resident deed tax (if applicable), standard closing costs (approximately 3–5% of price, including lawyer fees, inspection fees, title insurance, and the regular land transfer tax)[32], moving expenses, and any immediate repairs or furniture. If you’re moving from afar, consider the cost of travel or shipping belongings. Nova Scotia’s HST (15% sales tax) will apply to many services and new construction homes, so include tax in your calculations for things like legal fees, inspections, or renovations.
Hire a Local Real Estate Lawyer Early: In Nova Scotia, you’ll need a lawyer (or NS barrister/solicitor) to handle the closing, title search, and to register the deed. Choose one experienced in real estate – they will ensure there are no title problems and that all documents (and taxes) are handled correctly. If you’re not physically in Nova Scotia yet, your lawyer can facilitate remote signing or use a power of attorney if needed. Engaging a lawyer as soon as you have an accepted offer (or even before) will smooth out the closing process.

Include Protective Conditions in Your Offer: As a buyer, you’re allowed to put conditions in your purchase offer – common ones are financing, home inspection, and in some cases review of documents (like condo financials or well water quality tests for rural homes). In a hot market, sellers prefer fewer conditions, but never skip a home inspection unless you’re very confident. Work with your REALTOR® to craft an offer that balances being competitive with protecting your interests. For example, you might do a shorter condition period (say 5-7 days to get your inspection done quickly) to reassure the seller.
Plan Ahead for Moving and Settling: If you are immigrating, remember to coordinate the timing of your move with the home closing date. It can be wise to arrive a bit before closing (or have a trusted person handle things on your behalf) so you can do a final walkthrough and smoothly take possession. Arrange utilities setup (power, internet) ahead of time if possible – many providers allow scheduling connections in advance. Nova Scotia’s winters can be cold, so if you’re arriving in winter, make sure heating is arranged! Little things like changing your driver’s license, health card, and registering for provincial health coverage (MSI) should also be on your post-move checklist.

By following these steps, you’ll avoid many common pitfalls that newcomers face. And of course, one of the best moves you can make is to engage a trustworthy local real estate professional.

Final Thoughts

Buying a home in Nova Scotia as a non-resident or new immigrant is an exciting venture. While there are extra rules and steps to navigate, thousands of people successfully make the journey each year – and Nova Scotia’s friendly communities are ready to welcome you. By staying informed on the latest regulations (like the foreign buyer ban and tax changes) and leveraging the help of professionals, you can avoid surprises and focus on the fun parts: finding that perfect Nova Scotia property and imagining your new life here.

Whether you’re moving to Nova Scotia for a fresh start or investing in a second home, you’ll soon see why so many have fallen in love with this place. From the rugged coastlines and charming small towns to the growing opportunities in our cities, Nova Scotia offers a quality of life that’s hard to beat. Good luck with your home search, and if you have any questions or need guidance, don’t hesitate to reach out – as a local REALTOR® who’s helped many newcomers, I’m here to assist. Welcome (or as we say locally, Céad Míle Fáilte, a hundred thousand welcomes) to Nova Scotia!

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